Neutral In this Monday’s Weekly Report we lifted the hard-hit S&P hotels index to neutral from previously underweight and cemented gains of 20% since inception. Relative retail sales have rebounded over the past…
Highlights Portfolio Strategy Receding interest in the coronavirus epidemic, rising demand prospects, a looming profit turnaround and compelling valuations, all signal that it no longer pays to be bearish the S&P hotels index.…
Last Wednesday’s Hilton Worldwide Holdings earnings call was littered with cautious commentary during the Q&A section of the call. Specifically, Hilton mentioned that global uncertainty, whether it is Brexit, Trade…
Underweight This Wednesday’s Hilton Worldwide Holdings earnings call was littered with cautious commentary during the Q&A section of the call. Specifically, Hilton mentioned that all around global uncertainty be it…
Underweight The latest University of Michigan consumer sentiment survey made for grim reading and such souring in confidence will continue to weigh on lodging equities (second panel). As a result, we remain underweight the…
On the operating front the news is equally dour. While selling prices are expanding, the relentless construction binge will lead to a mean reversion sooner rather than later. Tack on the ongoing assault from the new sharing…
The latest University of Michigan consumer sentiment survey made for grim reading and such souring in confidence will continue to weigh on lodging equities. As a result, we remain underweight the niche S&P hotels, resorts…
Highlights Portfolio Strategy The sustained global growth slowdown, widening junk spreads, along with the risk of a U.S. recession becoming a self-fulfilling prophecy suggest that caution is still warranted in the broad equity market…
Underweight The S&P hotels, resorts and cruise lines index has been trading sideways for the last several months. Weakness in the cruise lines half of the index has been offset by relative outperformance by hotels,…
Underweight Marriott International, the hotel heavyweight of the S&P hotels, resorts and cruise lines index reported results on Monday and the company's outlook was grim, calling for revenue growth below analyst forecasts on…